dodicula wrote:
So why would smeone use this site instead of ebay? The fees seem quite similiar
To be fair, as pricey as ebay is or seems to be, it is very hard to undercut them. If you want to run an auction site like this, chances are you'll want to use paypal to have a safe payment mechanism with lots of users, and paypal is owned by ebay (so ebay still gets the lion share)
The paypal fees alone will bring you up to near ebay prices alone, without even a margin in it for yourself and ebay will often undercut you with special offers and free listings, especially around Christmas time, etc.., simply because they can go lower than what they charge you through paypal.
Wanna run a site like that without paypal, but some other little known payment service? Good luck!
And of course, ebay uses a not insignificant share of the fees they earn and give em back to people marketing their products through their ebay partnership affiliate programme. If you are into eBay as a more or less professional seller, chances are you'll be earning at least some of those fees back through pay-per-click promotions you'll do for your own listings.